The FactsInitiative 87 Will Drive Up Costs, Hurt Workers, and Close Businesses
We can't support policies that don't support a DC economy where small businesses, workers, and communities can all thrive. Here's why Initiative 87 fails that test.
The Claim vs. The RealityIt's Being Sold as a Win for Workers. It Isn't.
A $25 minimum wage sounds like progress. But the details tell a different story. And the outsiders promoting this initiative aren't the ones who will live with the consequences.
DC already has the highest minimum wage of any state in the country — $18.40 an hour in July 2026 — and it increases automatically with inflation every single year. The question was never whether workers deserve more. Of course they do. The question is whether this is the right policy to get them there.
No American city has ever spiked its minimum wage this fast. We should be deeply skeptical of why outside groups are trying to use DC as the place to start.
Impact #1It Drives Up the Cost of Everything
It drives up the cost of everythingChildcare. Healthcare. Rent. Groceries. A cup of coffee. Every business that employs hourly workers gets hit — and those costs get passed to you. DC's cost of living is already 39% above the national average.
Higher wages, smaller paychecksWhen labor costs spike too far, too fast, businesses cut hours, reduce shifts, and replace people with automation. More per hour often means less per week — and sometimes no job at all.
Too extreme, too fastDC already leads the nation in minimum wage. Full- and limited-service business closures increased 40% in 2025 alone. An extreme wage spike at this moment destabilizes an already fragile economy.
$18.40
DC's min wage (as of July 2026) is already the highest of any state in the nation — and grows every year with inflation.
102
Restaurant closures in 2025 — more than doubled since 2022 — which would increase even more due to Initiative 87.
96%
Surveyed economists say a $25 min wage would lead to job loss, automation, and worse inflation.
Voices from DCReal People.
Real Consequences.
These stories reflect the experiences of real DC workers, diners, and operators whose livelihoods depend on getting this right.
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For years, “Server Sam” has been taking care of customers at a treasured DC diner that you know by name. Recent policies that were supposed to help them already cost them $240 a week. Sam went from $910 to $670.
Not because of anything they did wrong, but because higher costs meant fewer customers, fewer shifts, fewer chances.
A $25 minimum wage would make it worse. Much worse. Sam would only be taking home $500 a week — maybe even less.
That's not a living wage. That's a giant pay cut disguised as a raise.
DC workers can't afford another failed experiment.
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Devon has been coming to the same DC cafe every Friday night for fifteen years. Same booth. Same burger. Same server.
That burger is already $4 more than it was two years ago. Under a $25 minimum wage, it jumps another $8. Devon’s Friday night goes from a $70 dinner to over a hundred dollars — and Devon starts staying home.
When Devon stays home, the cafe closes. And when the cafe closes, their server loses everything.
A $25 minimum wage doesn't help anyone at this table.
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Emerson didn’t open a DC bistro to get rich. Emerson opened it to give people jobs. Emerson’s got fourteen employees — servers, cooks, a dishwasher who’s been there since day one.
The bistro is already in the red. Under a $25 minimum wage, labor costs jump from 38 cents of every dollar to nearly 60. Emerson can’t raise prices enough to survive. The math has been done.
Closing isn't giving up. It's what the math demands.
Fourteen people don't get a raise. They get a pink slip.
That’s the actual cost of a $25 minimum wage.
In the NewsWhat Experts Are Saying
“If it passes, the policy would be even worse for affordability than more incremental increases enacted in recent years…An academic paper published last month shows how increases in minimum wages raise the likelihood of robot adoption in manufacturing.”
— The Washington Post Editorial Board, March 2026
"A significant wage hike risks further destabilizing restaurants struggling with lower sales and higher costs."
— Shawn Townsend, President & CEO, Restaurant Association Metropolitan Washington
Who We AreDC Shouldn’t be a Testing Ground
Keep DC Local and Independent is a coalition of workers, business owners, and DC residents who believe our city deserves policies designed for us — not imposed on us by well-funded national organizations with no stake in the outcome.
We want our workers to earn more. We want our local business owners to keep the lights on. And we want our community to be able to afford the places that make our city so special.
That’s why we can’t support a policy that misleads by promising raises while delivering layoffs, closures, and higher prices for everyone. DC can do better. We should demand better.
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